Certified Information Privacy Professional (CIPP) Practice Questions 2026 – All-in-One Guide to Exam Success!

U.S.-based companies must comply with GDPR requests for data subject rights if the personal information they are handling belongs to a data subject residing in the EU. This is because the GDPR applies extraterritorially, meaning it can affect entities outside the EU when they process the personal data of individuals located within the EU.

Specifically, the regulation focuses on the protection of personal data irrespective of the location of the company processing that data. If a U.S.-based company collects or processes the personal data of EU citizens, it must adhere to GDPR requirements, including respecting data subject rights such as access, rectification, and erasure. This alignment with GDPR is crucial for U.S. companies to maintain compliance and avoid potential penalties or legal actions associated with non-compliance.

The other options do not accurately reflect the scope of GDPR applicability to non-EU companies. For instance, simply having assets in the EU doesn’t automatically trigger compliance unless personal data from EU data subjects is involved. Similarly, stating that this is an unsettled jurisdictional issue ignores the clear guidance provided by GDPR regarding its reach. Lastly, claiming that the EU possesses no jurisdiction over U.S. companies fails to account for the GDPR's explicit provisions regarding the data of EU data subjects